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FCC Seeks Comments on E-rate Orders

In two separate items released today, the FCC is seeking comments on two specific appeal decision orders issued in recent months. The Orders at issue are the Lazo Order and the Integrity Order.

In the Lazo Order, the FCC upheld a USAC decision to deny payment for work performed by the Petitioners for the Dallas Independent School District (DISD). In the denied appeal to the FCC, the Petitioners were part of a consortium of Service Providers headed by Mirco Systems Engineering, Inc. president Frankie Wong. Mr. Wong and a former DISD officer were convicted of federal offenses in connection with defrauding the E-rate program.

In the Integrity Order, the FCC upheld a USAC decision to suspend funding for Integrity Communications, Ltd. after an audit uncovered inconsistencies in its billing for services provided to an applicant. In the original RFP, the applicant defined that it would not issue progress payments for a project, and would only pay at its completion. The audit found that Integrity issued progress invoices to the applicant and billed USAC in progress invoices as well. The applicant paid its non-discounted portion of the project at the time the project was complete.

Upon suspending Integrity’s funding, USAC also issued letters to all applicants with pending funding requests notifying them of the suspension of funding.

The deadline for interested parties to submit comments is November 20, 2009. Reply comments are due December 7, 2009.

FCC Items:


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